This study examines the legal relationship between salt farmers and middlemen (tengkulak) in Bangkala District, Jeneponto Regency from a business law perspective, employing a mixed method approach that integrates normative juridical and empirical juridical methods. Normative analysis applies a statute approach to the Indonesian Civil Code (Articles 1320, 1338, 1339, 1347, and 1365), Law No. 5 of 1999 on the Prohibition of Monopolistic Practices and Unfair Business Competition, Law No. 7 of 2014 on Trade, Law No. 25 of 1992 on Cooperatives, and Presidential Regulation No. 126 of 2022. Empirical data were collected through in-depth interviews with nine informants comprising three salt farmers, three middlemen, and three consumers. The findings reveal that: (1) salt prices in Bangkala District fluctuated significantly throughout 2025, ranging from IDR 50,000 to IDR 150,000 per 50 kg—a fluctuation range of 200%; (2) oral agreements between farmers and middlemen formally satisfy the validity requirements under Article 1320 of the Civil Code, yet materially contain imbalanced bargaining positions that potentially violate the good faith principle under Article 1338(3); (3) the oligopsonistic market structure characterized by middlemen's dominance in price determination reflects market failure and potentially contains price coordination elements prohibited under Article 11 of Law No. 5 of 1999; (4) legal reform is needed through three simultaneous pillars: formalization of standard written contracts, establishment of legally incorporated salt cooperatives, and reference price-setting by local government. This study recommends strengthening the regulatory framework for people's salt trade at the district level as a concrete form of legal protection for salt farmers in South Sulawesi.
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